The company "ALPHA" started operations on 01/06/202X. The transactions of buying and selling inventories are shown in the table below: You are asked (a) to display your inventory account statement based on the methods of: FIFO, Weighted average price, with continuous inventory (b) analyze the impact of each method on the balance sheet (statement of financial position) and profit and loss statement figures. 01/06/202X Initial inventory 400 units 0,80€ 09/07/202X Market 1600 0,83€ 10/08/202X Sale- export 1800 21/09/202X Market 1500 0,84€ 25/10/202X Sale – export 1500 29/11/202X Market 1300 0,85€ 20/12/202X Sale-export 1100
The company "ALPHA" started operations on 01/06/202X. The transactions of buying and selling inventories are shown in the table below: You are asked (a) to display your inventory account statement based on the methods of: FIFO, Weighted average price, with continuous inventory (b) analyze the impact of each method on the balance sheet (statement of financial position) and profit and loss statement figures. 01/06/202X Initial inventory 400 units 0,80€ 09/07/202X Market 1600 0,83€ 10/08/202X Sale- export 1800 21/09/202X Market 1500 0,84€ 25/10/202X Sale – export 1500 29/11/202X Market 1300 0,85€ 20/12/202X Sale-export 1100
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter7: Inventories
Section: Chapter Questions
Problem 4PEB: Beginning inventory, purchases, and sales for WCS12 are as follows: Assuming a perpetual inventory...
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The company "ALPHA" started operations on 01/06/202X. The transactions of buying and selling inventories are shown in the table below:
You are asked (a) to display your inventory account statement based on the methods of: FIFO, Weighted average price, with continuous inventory
(b) analyze the impact of each method on the balance sheet (
01/06/202X |
Initial inventory |
400 units |
0,80€ |
09/07/202X |
Market |
1600 |
0,83€ |
10/08/202X |
Sale- export |
1800
|
|
21/09/202X |
Market |
1500 |
0,84€ |
25/10/202X |
Sale – export |
1500 |
|
29/11/202X |
Market |
1300 |
0,85€ |
20/12/202X |
Sale-export |
1100 |
|
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